The main advantage of Stellar Lumens is open source code and platform scalability. The system independently and without much difficulty masters several 1000 transactions instantly. It takes no more than 5 seconds to confirm one financial transaction. Among the positive aspects of the project are:
- The ability to exchange cryptographic and fiat funds.
- Use of tokens and other active assets.
- An advantageous contrast to the PoW protocol.
- Conclusion of smart contracts and multisignature of the same name.
Very soon, the project will be expanded and users will be able to use other coins. This will be done through a public and private blockchain. Stellar will become the so-called bridge between fiat and digital money
Advantages and disadvantages
As a result of attempts to correct the shortcomings of her progenitor, Stellar has acquired the following advantages:
1. Equality of all participants in the system.
2. Very fast transactions (up to 1000 in one second).
3. Open source, maximum decentralization.
4. Security that is achieved through crypto-encryption and the use of autonomous nodes.
5. Support for integration with other projects and financial systems.
One of the inconveniences is the threshold for entry – to make transactions, it is necessary that the account has at least 0.5 XLM. At a low cost of the coin, this is not yet a serious obstacle and does not discourage those who want to use the system.
Prospects and forecast
Stellar Lumens (XLM) cryptocurrency is a fairly serious project and has almost caught up with Ripple Labs in terms of market coverage, from which originally happened. However, experts still do not count on the same active growth as Ripple’s.
Despite the fact that the project is more honest and improved, various banks and large corporations are now on the side of Ripple, the number of which is only growing every day.
Nonetheless, analysts forecast strong growth for the Stellar Lumens XLM to BTC cryptocurrency over the next few years. Already now it has a large capitalization (it is in the top 10 of the cryptocurrency rating) with a fairly low rate. This can be considered a reason to invest, but only counting on HODL, since there is no short-term profit
It will be possible to draw more definite conclusions when a general positive trend is established in the market. Another factor is the signing of contracts with large corporations of global importance. Although there are not very many giants interested in the Stellar currency so far, it can be seen with the naked eye that the development is promising and in demand.
This is facilitated by the following features:
- Stellar cryptocurrency is based on a unique technology that makes it possible to instantly exchange different assets. At the same time, the user will not be able to lose money on paying additional commissions.
- Many corporations today use the technology offered by the platform. They are actively investing in the project.
- In practice, there are more and more opportunities for using the monetary unit. So, soon the Stellar cryptocurrency will be used to organize the African manager Vumi. Additionally, it is planned to use a digital coin for a number of payments in some countries of the continent.